1Amending the act of March 4, 1971 (P.L.6, No.2), entitled "An
2act relating to tax reform and State taxation by codifying
3and enumerating certain subjects of taxation and imposing
4taxes thereon; providing procedures for the payment,
5collection, administration and enforcement thereof; providing
6for tax credits in certain cases; conferring powers and
7imposing duties upon the Department of Revenue, certain
8employers, fiduciaries, individuals, persons, corporations
9and other entities; prescribing crimes, offenses and
10penalties," providing for the definition of "child with a
11disability"; and further providing for inheritance tax.

12The General Assembly of the Commonwealth of Pennsylvania
13hereby enacts as follows:

14Section 1. Section 2102 of the act of March 4, 1971 (P.L.6,
15No.2), known as the Tax Reform Code of 1971, is amended by
16adding a definition to read:

17Section 2102. Definitions.--The following words, terms and
18phrases, when used in this article, shall have the meanings
19ascribed to them in this section, except where the context
20clearly indicates a different meaning:

1* * *

2"Child with a disability." A person who:

3(1) due to disability remains eligible to receive either
4present or future Federal Social Security family benefits based
5on the Social Security earnings record of either of the person's
6parents; and

7(2) meets one of the following:

8(i) is a disabled adult child whose disability began on or
9before attaining 22 years of age for the purpose of the
10supplemental security income program under Title XVI of the
11Social Security Act (49 Stat. 620, 42 U.S.C. § 301 et seq.) and
12is eligible to receive supplemental security income and medical
13assistance benefits; or

14(ii) has been determined to be disabled for purposes of the
15supplemental security income program on or before attaining 18
16years of age, regardless of whether the parental income levels
17make the person eligible to receive supplemental security income
18and medical assistance benefits.

19* * *

20Section 2. Section 2116(a) of the act is amended by adding a
21clause to read:

22Section 2116. Inheritance Tax.--(a) * * *

23(1.4) Inheritance tax upon the transfer of property and
24other assets either directly to a child with a disability or to
25a trust for the benefit of a child with a disability from a
26natural parent, an adoptive parent or a stepparent of the child
27shall be at the rate of zero per cent.

28* * *

29Section 3. This act shall apply to the estates of decedents
30dying on or after the effective date of this section.

1Section 4. This act shall take effect in 60 days.